Many people don't know the position in the company after registration. Why do some companies only have a general manager and no chairman? What is an executive director? Where is the director in the company? Next, Bian Xiao will take you to have a good understanding. What obligations should everyone in the company perform and what role should they play?
How to understand the roles of executive directors and general managers?
Generally speaking, when registering a company, the industrial and commercial bureau often requires the registrant to fill in a company composition structure, which includes shareholders, supervisors, executive directors, general manager and so on. It goes without saying that shareholders and supervisors are here. What is the difference between an executive director and a general manager?
First, understand what an executive director is:
1. The executive director has the responsibility to actively perform the functions of the board of directors or the functions designated by it.
2. If the functions of the board of directors are not fully or reasonably exercised, which causes certain losses or damages to the company's economy, the shareholders may require the board of directors to bear the corresponding liability for compensation. If the cause of direct loss is unclear, all executive directors shall bear joint and several economic responsibilities.
3. The executive director must comply with the relevant provisions of the Company Law or the Articles of Association when exercising his functions and powers, and shall not act beyond his functions and powers, otherwise the relevant personnel will bear certain legal responsibilities.
rights and duties
How to understand what the responsibilities of the general manager are;
In fact, the responsibilities of the general manager include many items, mainly responsible for the operation and management of the company's overall business. The post of general manager is authorized by the board of directors of the company, and then he exercises the power to sign business contacts on behalf of the company. The general manager is also responsible for personnel, and should appoint and remove the overall management personnel of the company, including the company's deputy general manager, director, department head and manager. Submit the annual company summary, company development plan and scheme to the company's board of directors on a regular basis. Of course, small companies may be simple. Generally speaking, the operation of small companies is that shareholders are directors or general managers, and the related functional arrangements become very vague. Large and medium-sized companies or small companies with certain experience will hire general managers to formulate corresponding business plans, future development and product indicators. For the company, and they can be responsible for timely stop loss.
How to understand the relationship between executive director and general manager;
The functions of the executive director and the general manager of the company are introduced above. Next, I will show you the relationship between them. As the highest employee employed by a company, the board of directors may have only one executive director in the initial stage of a small company, and small companies will also set all basic special positions except shareholders as one person, such as executive director and general manager. Here, we should understand that the so-called executive directors are just employees hired by the company, but they have great power. He can directly manage the general manager or some senior executives of the company. Explain in vernacular: the executive director is the boss of the general manager.
Some people may wonder, like some small limited companies, do you still need to set up a board of directors? If a small company doesn't have a board of directors, it needs an executive director. Simply put, the executive director is the legal representative of the company.
rights and duties
What's the difference between an executive director and a chairman? ?
Presumably, many people who just started a business don't understand this very well. You know, small companies generally don't have a chairman (they can have one if they like). In an enterprise with a certain scale, the chairman is basically the person who holds the most shares among the shareholders of the board of directors, and the executive director mentioned just now is the person who directly participates in the company's operation among the major shareholders of the company, which is not difficult to understand.
For a small company, everything is still business oriented. As for the positioning of the company, it is recommended not to be too entangled. When the company develops to a certain height, the company can reconsider the board of directors.